Amidst a backdrop of escalating global economic challenges, Coinbase CEO Brian Armstrong asserts that “The world needs crypto, now more than ever.”
He identifies three critical issues plaguing the traditional financial system, for which he positions cryptocurrency as a vital solution.
According to Armstrong, the primary reasons for crypto’s urgent necessity are:
Exponentially Growing Debt
Armstrong highlights the alarming rise in national debt, citing the U.S. federal debt surpassing a staggering $36 trillion. This astronomical level of indebtedness erodes confidence in fiat currencies and traditional economic stability, driving individuals to seek alternative stores of value.
Inflation Crippling Entire Nations
Persistent and high inflation is systematically eroding purchasing power and significantly impacting living standards across the globe. Armstrong argues that the corrosive effects of inflation are leading to a widespread sense of economic insecurity and a search for assets that can act as a hedge against currency debasement. He notes that “It’s no coincidence Bitcoin prices are at all-time highs. People are turning to Bitcoin as a refuge from inflation and deficit spending.”
Declining Economic Freedom
These factors – surging debt and rampant inflation – are collectively contributing to a decline in economic freedom and a growing distrust in centralized financial institutions. Crypto, particularly Bitcoin, is presented by Armstrong as a powerful tool for individuals to reclaim autonomy over their finances, bypass intermediaries, and access efficient, low-cost global payment systems.
Beyond its role as a mere investment vehicle, Armstrong frames crypto as a transformative technology poised to fundamentally upgrade the entire financial system. He emphasizes its potential to revolutionize everything from real-time settlement and cross-border remittances to creating new, equitable monetization models for artists and creators. By recognizing crypto as a foundational technological layer rather than just a speculative asset, Armstrong believes society can unlock unprecedented levels of innovation and broader economic participation.
In summary, Armstrong posits that “There are major problems with the current financial system. And they are getting worse,” asserting that “Crypto is eating the financial services industry,” with Coinbase “leading the charge” in this financial evolution. Under his leadership, Coinbase aims to serve as the application layer for the next generation of internet tools, leveraging crypto to build a more economically free and innovative future.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/three-reasons-why-the-world-needs-crypto-according-to-coinbase-ceo/